Aegis Logistics Ltd. has confirmed its compliance with Regulation 74(5) of the Securities and Exchange Board of India (Depositories and Participants) Regulations, 2018, for the quarter ended June 30, 2025. The company submitted a certificate from its Registrar and Share Transfer Agent (RTA), MUFG Intime India Private Limited, affirming that all processes related to the dematerialisation of securities were duly followed within the prescribed timelines. This compliance filing is a routine but crucial regulatory requirement, ensuring the integrity and efficiency of the securities market by confirming proper handling of dematerialisation requests.
Regulatory Compliance Details
The certificate, dated July 04, 2025, and submitted to the stock exchanges and depositories on July 08, 2025, confirms several key aspects of securities handling. According to the RTA, MUFG Intime India Private Limited, all securities received from depository participants for dematerialisation during the quarter ended June 30, 2025, were confirmed (accepted or rejected) to the depositories. This process ensures that the electronic records accurately reflect the ownership of shares.Furthermore, the RTA confirmed that the securities comprised in the said certificates have been listed on the stock exchanges where the earlier issued securities are already listed. This step is vital for maintaining the fungibility and tradability of shares in the market. The certificate also explicitly states that the security certificates received for dematerialisation were duly mutilated and cancelled after proper verification by the depository participant. This physical destruction of certificates prevents any fraudulent re-use and ensures that the electronic records are the sole valid representation of ownership.
Crucially, the name of the depositories has been substituted in the company's register of members as the registered owner within the prescribed timelines. This update is fundamental to the dematerialisation process, as it transfers the legal ownership from the individual shareholder (in physical form) to the depository (in electronic form), which then holds the shares on behalf of the beneficial owner.
Process and Stakeholders
The process of dematerialisation involves several key stakeholders. The shareholder initiates the request to convert physical share certificates into electronic form through a Depository Participant (DP). The DP then forwards this request to the Registrar and Share Transfer Agent (RTA) of the company, in this case, MUFG Intime India Private Limited. The RTA, acting on behalf of Aegis Logistics Ltd., verifies the physical certificates, processes the dematerialisation request, and communicates the confirmation or rejection to the depositories (National Securities Depository Ltd. - NSDL and Central Depository Services (India) Ltd. - CDSL).
Regulation 74(5) mandates that this entire process, from receiving the securities to confirming them to the depositories and updating the register of members, must be completed within specific timelines. The timely submission of this certificate by Aegis Logistics Ltd. underscores its commitment to regulatory adherence and efficient investor services.
Importance for Shareholders and Market Integrity
Compliance with Regulation 74(5) is paramount for investor protection and maintaining the integrity of the securities market. For shareholders, it provides assurance that their physical share certificates, once submitted for dematerialisation, are handled securely and accurately converted into electronic form. This eliminates the risks associated with holding physical certificates, such as loss, theft, or forgery, and facilitates easier trading and transfer of shares.
For the broader market, this regulation ensures that the electronic records maintained by depositories are accurate and reliable, which is critical for transparent and efficient trading. It also helps in preventing market manipulation by ensuring that only valid shares are traded. The regular submission of such compliance certificates by listed entities like Aegis Logistics Ltd. reinforces trust in the Indian capital markets' operational framework.
Aegis Logistics Ltd. continues to uphold its regulatory obligations, ensuring that its share transfer and dematerialisation processes are in strict adherence to SEBI guidelines, thereby contributing to a robust and investor-friendly market environment.
